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Clearly both the US and Greece scenarios represent credit events. However, the expected losses and recovery amounts are vastly different in the eyes of the creditors. What more interesting is that the first scenario is a default, but the second is not. So at the end of the day, a sovereign default may turn out not to mean much, or it could be catastrophic. Just something to keep in mind.
In addition, the world is only now sorting out how to encompass "the eruption of democratic movements" that has taken place across the Middle East. The problem, of course, is that once one opens a lid that has been tied down for a long time, all kinds of things will come out of the pot.
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This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and section 21E of the Exchange Act of 1934, as amended by public law 104-67 and is subject to safe harbor by these sections. Actual results, performance or achievements could differ materially from those that may be anticipated in such forward-looking statements, which involve numerous risks and uncertainties.
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